1. A statistician is interested in the gross earnings of several of her favorite bands. She took a random sample of
30 of the Rolling Stones’ North American concerts, and found that the gross earnings averaged $2.27 million
with a standard deviation of $0.5 million. One source suggests that the average gross earnings per concert for
every stadium performance in North America is $2.11 million. Do the Rolling Stones earn more on average?
Test at a 5% level of significance
2. A survey was conducted about the cost for a family of four to visit an amusement park for one day. A sample
of 32 families yielded an average cost of $190.28 with a standard deviation of $51.75. Last year, a magazine
published that the average cost for a family of four to visit an amusement park was $175. Based on the sample
data above, can we conclude that the mean cost is actually higher than this at α=.05
3. According to a large local high school, senior students have a mean GPA of 3.07. A random sample of 38
seniors taking AP courses showed a mean GPA of 3.29 with a standard deviation of 0.42. At the 1% level of
significance, can it be stated that seniors taking AP courses have a different GPA than the senior class as a
whole?
1)
Answer)
Null hypothesis Ho : u = 2.11
Alternate hypothesis Ha : u > 2.11
As the population standard deviation is unknown here we will use t distribution table to conduct the test
Test statistics t = (sample mean - claimed mean)/(s.d/√n)
t = (2.27 - 2.11)/(0.5/√30) = 1.75
From z table, P(z>1.75) = 0.0401
P-value = 0.0401
As the obtained p-value is less than 0.05, given significance
We reject the null hypothesis Ho
We have enough evidence to conclude that u > 2.11
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